DAIRY INDUSTRY

Press, Volume LXIX, Issue 21034, 9 December 1933, Page 16

DAIRY INDUSTRY

Bill Provides for Stricter Control TRANSFER OF SUPPLIES RESTRICTED [From Our Parliamentary Reporter.] WELLINGTON, December 8. Stricter control of the dairy industry is provided in the Dairy Industry Amendment Bill, whicn was introduced by Governor-General's Message in the House of Representatives this afternoon. The bill authorises the registration of dairy factory managers and the appointment of a registration board, restricts the tr-nsfer of supply from one factory to another during the currency of a season, and permits dairy companies to charge commission on all assignments or orders. Under the bill the Government can make regulations governing the registration of persons competent to be employed as dairy factory managers. It is given power to set up a registration board for this purpose to allow any person aggrieved by any decision of the board the right of appeal to a magistrate and two assessors, one appointed by the appellant and one by the Minister for Agriculture, or his nominee. The regulations requiring the registration of dairy factory managers have been urged by the Dairy Produce Control Board and by (the Dairy Factory Managers' Association for the purpose of ensuring that only competent persons are employed as managers. There have been doubts, however, whether sufficient power already exists to make regulations in (this matter. The clauses have therefore been inserted in the bill to ensuie the validity of the proposed regulations. A further clause protects persons already employed as dairy factory managers by authorising then registration without further evidence of their qualifications. Regulating; Supplies. Provision is contained in the bill for regulating the supply of milk or cream to dairy factories by restricting the transfer of supply from one dairy factory to another during the same season. In May last a regulation was made under the act restricting tne transfer of the supply of milk 01 cream during the same manufacturing season, except with the consent of the owner of the factory to whom the milk or cream was being supplied. The legulation was the subject, of consideration by the Court of Appeal in October last, on an originating summons, and the court unanimously declared the regulation to be ultra vires and void.' As it is considered that the unrestricted right of a supplier to transfer his supply militates against the efficient operation of the grading provisions of the regulations regarding milk or cream, which are designed for the sole purpose of improving the general quality of dairy produce, a clause is provided in the bill Which confers all the necessary powers on the Government to reimpose, in the interests of the dairy industry generally, the substance of the invalid regulation, and at the same time gives the supplier the right of appeal to a magistrate from the operation of any such regulation on the grounds of hardship. Authority is given dairy companies to charge a commission not exceeding 2£ per cent, on all assignments or orders by a supplier on his milk or cream cheques. For some time past legislative authority has been sought by the industry for making a charge for the execution of orders given by suppliers on their milk or cream cheques. Tt has been represented that the handling of such orders entails considerable work for dairy companies, especially where pome c|mpliers issue orders five or six deep against moneys due to them by the company. In such cases Hie ordcis have to be treated in priority of date, and if on a percentage basis, each one involves a special calculation. The purpose of the bill is to give Ihe Government power to make regulations authorising dairy companies to charge a commission of not more than 2i per cent, on all such orders or other assignments. Members' Comments. Explaining the bill, the Minister for Agriculture, the Hon. C. E. Macmillan said that dairy factory managers had been asking for years to be allowed to register themselves as an organisation. The right to charge commission had also been requested from time to time by the National Dairy AssociaE. J. Howard (Lab., Christchurch South): And resisted by others. The Minister: I do not know how the honourable member would get anything in this or the next world without a certain amount of resistance from some quarter or other. Mr P. Eraser (Lab., Wellington Central): Are you making regulations for the next world? The Minister: A suggestion has been made that regulations should not be issued unless there is unanimity. Everyone knows that is impossible. Dairy companies and executives have all asked for something to allow them to charge commission on orders. Mr Howard: All companies? The Minister: Well, the majority. I think I am safe in saying the executives of all companies. Mr C. Carr (Lab., Timaru) said it seemed that the Government was now attempting to legislate for something to which strong objections were taken and upheld on appeal. Mr F. Lye (C., Waikato) asked if it were the intention of the Minister to refer the bill to the agricultural, stock, and pastoral committee. It was an important bill, he said, and there was a good deal of feeling about it in the country. The bill was read a second time pro forma and referred to this committee.